Loan & DebtMay 5, 2026, 07:52 AM
High Tide Secures $40MM Credit Facilities with Big 5 Canadian Bank
AI Summary
High Tide Inc. has signed a term sheet for $40 million in new senior secured credit facilities with one of Canada's "Big 5" chartered banks. These new facilities will replace the company's existing senior credit facility and refinance $15 million in second-lien debentures. The transaction, expected to close within 60 days, includes a $25 million committed revolver and a $15 million delayed draw term loan, providing lower-cost capital and strengthening High Tide's ability to pursue accretive growth.
Key Highlights
- High Tide secured $40 million in new senior secured credit facilities.
- Facilities provided by a "Big 5" Canadian chartered bank.
- Includes a $25 million committed revolver facility with a three-year maturity.
- Includes a $15 million committed delayed draw term loan, repayable over seven years.
- New facilities replace existing senior credit facility with connectFirst Credit Union.
- Refinances $15 million in existing second-lien debentures.
- Interest rate will range between Prime + 2% and Prime + 3%.
- Company expects to be comfortably in compliance with all financial covenants.